ЮЖНЫЙ КОРИДОР

Расширение Единой системы газоснабжения для обеспечения подачи газа в газопровод «Южный поток» Contents

About Southern Corridor project 4 Expanding Unified Gas Supply System (UGSS) of

Geographic area of construction 6 Southern Corridor project facilities

Western route 8 Construction Phase 1

Eastern route 10 Construction Phase 2

Sea gate of Southern Corridor 12 Russkaya compressor station

Main facility of Southern Corridor system 13 Kazachya compressor station

Reliability and security 14 Ensuring safe operation of Southern Corridor system

Environmental activities 16 Principles of OAO Gazprom environmental policy

Duty to remember 18 Exploration activities

Our history 20 Archeological excavations

Project participants 22 About Southern Corridor project

Expanding Unified Gas Supply System (UGSS) of Russia

Project beginning – 2010, planned completion – 2017.

The UGSS of Russia expansion (construction of the Southern Corridor gas pipeline system) is OAO Gazprom’s large-scale project that will help supply additional natural gas volumes to central and southern regions of Russia in order to develop the industrial, agricultural and utility sectors as well as improve the living conditions.

The Southern Corridor gas pipeline system will run across eight Russian regions and will consist of two elements: the Western route and the Eastern route.

Phase 1 of the project stipulates construction of the Western route that will cross the Voronezh and Rostov Regions and the Krasnodar Territory.

The Eastern route will be built within Phase 2. It will pass through the Region, the Republic of , the Penza, Saratov and Regions and will be connected to the Western route in the Rostov Region and the Krasnodar Territory.

63 bln m3/year 1 516 MW 2 506 , 2 km Southern Corridor gas pipeline Total design capacity Total projected length system throughput of ten compressor stations (CS) of the route

4 5 Geographic area of construction

Southern Corridor project facilities

The Southern Corridor gas pipeline system will considerably increase the pace of socio-economic development, create new industrial facilities and new workplaces and reinforce the energy potential in Russian regions.

Voronezh Region – the Cradleland of Russian Navy Nizhny Novgorod Region – the Purse of Russia

Capital of the Black Earth Belt. Center of folk arts and crafts. КС Pisarevka CS, 47 km of the gas pipeline. КС Pochinki CS, 41 km of gas pipeline.

Rostov Region – the Lower Don Republic of Mordovia – the Land of Craftsmen

Center of Russia’s motor vehicles and agricultural machinery production. Region with one of the most multinational population in Russia. КС Shakhtinskaya CS, 393 km of the gas pipeline. Transit – 72 km of the gas pipeline. КС Salskaya CS, 253 km of the gas pipeline.

Krasnodar Territory – the Granary of Russia Saratov Region – the Wheaten Land

Russia’s largest resort center. Region that includes 3 natural and climatic zones: forest steppe, КС Korenovskaya CS, КС Kazachya CS, КС Russkaya CS, steppe and semidesert. КС Kubanskaya CS. КС Petrovsk CS, 172 km of the gas pipeline. Linear facilities – Western (383,6 km) and Eastern (394,6 km) routes.

Penza Region – the Area Volgograd Region – the Military Glory of Russia

Sole region where medical implants (artificial hearts) are Shipping center of Russia. produced. КС Zhirnovskaya CS, КС Volgogradskaya CS, 485 km of КС Mokshanskaya CS, 208 km of the gas pipeline. the gas pipeline.

6 7 Western route

Construction Phase 1

574 MW Total design capacity of compressor stations

880,6 km 57 km Total length of gas pipelines, Kubanskaya – Korenovskaya CS interconnector, (700-1,400 mm pipes), including (700 mm pipes) Kubanskaya – Korenovskaya CS interconnector

Compressor stations Equipment / Units Capacity, MW

Pisarevka GCU-C6 . 3/ 6, GCU-10-4 / 8, GCU-16 / 7* 229,8

Shakhtinskaya GCU-25 / 5 125

Korenovskaya GCU-25 / 5 125

Kazachya GCU-25 / 4 100

Russkaya GCU-32 / 7 224

* After retrofitting Pisarevka CS.

8 9 Eastern route

Construction Phase 2

942 MW 1 625,6 km Total design capacity of Total length of gas pipelines, сompressor stations large-diameter pipes (800 - 1,400 mm)

Compressor stations Equipment / Units Capacity, MW

Pochinki GCU-16 / 6 96

Mokshanskaya GCU-25 / 6 150

Petrovskaya GCU-16 / 5 80

Zhirnovskaya GCU-16 / 4 64

Volgogradskaya GCU-16 / 4 64

Salskaya GCU-16 / 4 64

Korenovskaya GCU-25 / 4 100 / 225*

Kazachya GCU-25 / 4 100 / 200*

Russkaya GCU-32 / 7 224 / 448*

* Capacity at connection between the Eastern and the Western routes.

10 11 Sea gate of Southern Corridor Main facility of Southern Corridor system

Russkaya compressor station Kazachya compressor station

Russkaya is the most powerful compressor station in the world. It is the ending point of Southern Corridor and The Kazachya compressor station is located in the Krasnodar Territory and is a crucial facility incorporated at the same time the starting point of South Stream. into the Southern Corridor gas pipeline system. The CS capacity will enable to create the gas pressure sufficient for conveying the blue fuel over a distance of Natural gas is treated there prior its shipment to Europe and afterwards is conveyed to the Russkaya CS and, 900 km with no extra technical means involved. finally, to the South Stream system.

28,45 MPa 63 bln m3/year 448 MW 11,8 MPa 63 bln m3/year 200 MW Gas discharge Compressor station Total capacity of Russkaya CS Gas discharge Compressor station Total capacity of Kazachya CS pressure capacity (Eastern and Western routes) pressure capacity (Eastern and Western routes)

12 13 Reliability and security

Ensuring safe operation of Southern Corridor system

OAO Gazprom gives particular attention to the construction safety and operational reliability while designing and constructing such complicated systems as Southern Corridor. OAO Gazprom pursues the following rules of construction:

• Monitoring closely every construction stage. • Giving priority to the directional drilling technology to avoid stripping of fertile soils and • Using cutting-edge equipment. misbalancing of the local ecosystem.

• Cooperating closely with supervisory bodies. • Specialized maintenance companies ensure operational reliability. • Constructing gas trunklines away from residential areas. • Clearing the area from explosive objects.

• Giving priority to construction of underground • Implying the unique natural disaster protection gas trunklines. system.

14 Gazprom expert supervises operation of gas supply facilities 15 Environmental activities

Principles of OAO Gazprom environmental policy

The major principles of OAO Gazprom environmental policy are preserving and protecting the environment and rational management of natural resources. The Company adopted the OAO Gazprom Comprehensive Environmental Program for 2011– 2015 with a view to preserve a healthy environment and follow the environmentally friendly development. In 2011 the Gazprom Environmental Management System was certified for compliance with the requirements of the ISO 14001:2004 international standard. All design, technological, engineering and construction solutions are introduced with regard to natural and climatic as well as geological conditions of the area.

• Strict compliance with the environmental • Mitigating negative environmental impact during legislation of the Russian Federation. facilities construction.

• Conducting all necessary approval procedures • Including items on environmental protection into (public hearings, ecological expertise). Cooperation Agreements between Gazprom and local authorities • Cooperating closely with environmental and ecological organizations.

Gazprom Group annually increases funds for environmental protection. In 2011 the Company allocated RUB 24.607 bln for this purpose, a 20 % rise versus 2010.

16 Golden hills, nature of Kuban 17 Duty to remember

Exploration activities

The World War II ended more than 65 years ago, but until now Russian soil keeps a memory of the epic events of the past. Quite often gas pipelines are laid in the areas of fierce battlefields.

Gazprom Group’s enterprises explore every inch of the ground with meticulous care trying to preserve memories of heroism of Soviet soldiers who defended their Motherland. The area is cleared from explosive objects before the facilities construction. A search of unknown soldiers to restore and perpetuate their names is ongoing.

A group of explorers managed to know the names of heroic dead during the construction of the Western route of Southern Corridor (the Voronezh and Rostov Regions, the Krasnodar Territory). The soldiers’ personal belongings were passed to the family members, and the soldiers themselves were buried with honor.

Over 150 artillery projectiles, mortar shells and grenades have been disposed during the operations. Currently, the operations are underway in the Eastern route of the Southern Corridor gas pipeline system. A search is ongoing.

18 Soviet soldier’s medal found in Krymsk district, Krasnodar Territory 19 Our history

Archeological excavations

The woks on land arrangement for facilities construction in the Western route of Southern Corridor included archeological excavations. Artifacts were discovered and examined by experts in the Voronezh and Rostov Regions and the Krasnodar Territory:

• the Yamna culture of the early Bronze Age • the Srubna culture of the late Bronze Age (about III thousand years B.C.), (mid of II thousand years B.C.).

• the Catacomb culture of the middle Bronze Age (about III thousand years B.C.),

These finds will allow researchers to better interpret the processes that were occurring at the Russia’s South that time. Besides, Khazars’ medieval cultural heritage of the 9–10th centuries was examined during archeological works that may turn to be the milestone in studying the Russian South ancient history. Presently exploration works along the Eastern route of Southern Corridor are in progress in the Nizhny Novgorod Region, the Republic of Mordovia, the Penza, Saratov and Volgograd Regions.

20 Jars found during operations in Korenovsk district, Krasnodar Territory 21 Project participants

Construction investor OAO Gazprom

A global energy company. The core activities are geological exploration, production, transmission, storage, treatment and marketing of gas, condensate and oil, as well as production and marketing of electric and thermal power.

Construction customer OOO Piter Gaz

An engineering company focused on design & survey and management of building offshore and onshore production and transmission facilities for the petroleum industry

22 23 Southern Corridor Expanding Unified Gas Supply System to secure natural gas supply to South Stream gas pipeline

2012